The long and winding road: 2023 will be a bumpy year for drivers

As we head into the new year, what lies in store for the UK’s 33 million motorists in 2023? 

With new cars set to hit showrooms and a number of controversial policies in line to be confirmed or scrapped, here’s a little crystal ball-gazing into the year ahead.

Rising prices

A combination of inflation, higher interest rates, a weaker pound and economic uncertainty means new car prices and finance package costs will rise, say car price experts Parkers (parkers.co.uk). 

Motorists face ‘a new normal of keeping cars for longer, paying more for them and seeking out the best value and longevity’.

For second-hand cars Parkers highlighted a ‘used-car timebomb’ of ‘no new sales, no used stock’ noting: ‘Drivers planning a change of used car have already faced prices almost doubling for popular, clever options such as the Skoda Yeti (once less than £3,000, now closer to £6,000), or BMW i3s (£11,000 to £13,000 at seven years old in 2019, now £16,000 to £18,000 for a comparable age).’

It added: ‘The squeeze on supply is exacerbated by the demand for lower fuel consumption, electric or hybrid models and the need for older diesels to be replaced for residents of ULEZ [Ultra Low Emission Zone] areas.’

And the price-guide highlighted how London Mayor Sadiq Khan’s plan to massively extend ULEZ in 2023 is having an unintended ‘levelling up’ effect on the used car market far beyond the capital and giving a new lease of life to older, fuel-efficient diesels.

Big winners

Early in January, Nissan’s Qashqai is set to be officially crowned the UK’s best-selling car of 2022 — the first time a British-built vehicle has secured the top slot in 24 years. 

Latest figures from the Society of Motor Manufacturers and Traders (SMMT) show the Sunderland-built family crossover priced from £26,045 was already the most popular car out of showrooms in November and the year to date.

Mini is also celebrating the 30th anniversary of its soft-top convertible with this new £34,500 Seaside Edition. 

Powered by a 2.0-litre Cooper S petrol engine (rest to 62mph in 7.2 seconds), first deliveries are from March 2023. Also in the New Year expect a brand new Mini Cooper and Countryman.

Five exciting cars on the horizon 

Peugeot 408: France’s President Macron attended the world premiere in Paris of the new sophisticated hybrid 408 crossover, priced from £31,050 to £43,250 for the First Edition with first deliveries in February.

Volvo EX90: Arriving late 2023, the new safety-first successor to the XC90 has a range of up to 363.5 miles with prices expected to start from about £75,000 (including a fully stocked version costing more than £100,000).

Kia EV9: The Korean firm’s flagship electric SUV is set to be launched in the first quarter of 2023 ahead of first deliveries towards the end of the year, priced about £60,000.

Rolls-Royce Spectre: The luxury British brand’s first fully electric car is priced from about £360,000, with first deliveries from autumn 2023. It accelerates to 60 mph in 4.4 seconds with a 320-mile range.

Aston Martin Valhalla: Extensively restyled since appearing fleetingly in the last James Bond movie ‘No Time to Die’, Aston’s first plug-in hybrid hypercar carries a £700,000 price tag ahead of first deliveries in late 2023.

Costly insurance

Car manufacturers are also hopeful of an improved 2023 — especially for electric cars — following a tough 2022 hit by problems including fall-out from the impact of Covid lockdowns overseas, adding to the squeeze on semiconductor supply, and turmoil in parts supplies resulting from war in Ukraine.

But SMMT chief executive Mike Hawes said: ‘There is renewed hope these issues will begin to ease in 2023.’ 

Amid rising anger over rip-off pump prices, MPs and campaigners are demanding a watchdog to curb profiteering at the forecourts. 

Brace yourself, too, for rising car insurance premiums — particularly if you are over 50, warns Comparethemarket.com.

 It says that while the average motor premium has increased year-on-year by 14 per cent — to £629 — drivers aged between 50 and 64 have seen their premiums rise by an average 16 per cent to £320.

Drivers between 65 and 80 have seen a 16 per cent rise (to £274), while those aged over 80 have endured a steeper 18 per cent increase (to £435).

Going green

the war on motorists will continue apace as London’s Mayor Khan expands the ULEZ zone from August and as other cities jump on the clean air charge bandwagon. 

From summer 2023, 13 locations across the UK will charge some vehicles to enter special low emissions or ‘clean air’ zones, of which four will be charging non-compliant general motorists, including London (£12.50), Oxford (£2 to £10), Birmingham (£9) and Bristol (£9). And there are more in the pipeline.

The expanded London ULEZ will cover all 33 boroughs in the city and see millions more drivers face the daily fee of £12.50 to use the capital’s roads.

In Newcastle and Gateshead, clean air charging policed by 38 ANPR cameras will be introduced in two phases — with non-compliant taxis, private hire vehicles, buses, coaches and HGVs (but not cars) being charged from January 30, 2023.

Shock price hikes if you go electric 

Only three new electric cars available to UK buyers are now priced under £30,000, a report reveals. Two years ago it was 15 and even three months ago it was seven.

Inflation and the removal of grants means motorists seeking an ‘affordable’ zero-emissions car are struggling.

Guide: Electrifying.com founder Ginny Buckley, left, and fellow host and TV presenter Nicki Shields, right, with the Chinese MG4 from £25,995

The price of some models has soared by 53 per cent in just 24 months, says the report by electric car consumer website Electrifying.com, which is calling for cheaper electric car loans for used cars to help buyers make the switch from petrol and diesel.

The three all-electric models still below the £30,000 threshold are: the Chinese MG4 from £25,995; the Nissan Leaf from £28,995 and the Mini Electric from £29,000.

MG’s ZS EV is on price lists at £29,495, but dealers have stopped taking orders as there’s a 14‑month waiting list.

The biggest increase has been the Fiat 500e, with the cheapest version leaping from £19,995 to £30,645, an increase of 53 per cent.

 

Staying safe

The Government’s ‘smart’ motorways fiasco will continue to be a headache for ministers unless they resolve motorists’ safety fears following a spate of tragedies.

Safety watchdogs at the Office of Rail and Road reported this month that detection rates of stopped vehicles — essential to the system working properly — were failing to meet targets.

Motoring groups say if the Government can’t provide more frequent refuge bays or solve the alarming safety glitches then the system should be scrapped and hard shoulders restored. 

Half of drivers avoid using lane one on ‘all lane running’ smart motorways and three-quarters fear running into a broken down vehicle, according to a recent RAC survey.

Scooter threat

Pressure is also set to increase on Transport Secretary Mark Harper and Home Secretary Suella Braverman to get a grip on the trade in electric scooters for illegal use on public highways following a coroner’s warning this month.

There have been eight e-scooter deaths in London since 2019, and a total of 31 nationally, an inquest heard.

Only e-scooters hired from firms in a Government trial are allowed on the road.

Whatever 2023 may bring, I wish you a Happy New Year.

It’s a new day in the UK for hyundai 

You have to hand it to Korean car firm Hyundai — they are persistent.

Some years back, they sought to educate the British public into changing how they pronounced the name of their company — from the English-sounding ‘local’ pronunciation of ‘Hy-un-dai’ to the more Korean-sounding emphasis of ‘Hyun-day’. It failed miserably.

Now they’re trying again with a series of TV adverts aimed at light-heartedly persuading us of the error of our ways and to adopt their preferred ‘global’ pronunciation: ‘Hyun-day’.

Say it right! Hyundai has a bee in its bonnet about pronunciation in adverts for the new  Ioniq  5 (pictured)

The adverts shows UK buyers of their Ioniq 5 model seeking to find the nearest Hyundai showroom using voice search on their phones. 

But using the current standard English pronunciation, they are directed instead to the ‘High ’n’ Dye’ hair salon or the ‘Highland Eye’ pub, ‘Hawaiian Tie’ shop, and ‘High End Pie’ trailer, ‘Iron Guy’ statue etc, until finally, they’re helpfully informed: ‘It’s Hyun-day, by the way.’ 

The advert notes: ‘If you thought you knew our cars and how to say our name, maybe it’s time to think again.’

For some reason this pronunciation issue clearly rankles with Hyundai marketing bods. But I suspect they are on a hiding to nothing and need to chill out.

There’s no pressure, for example, from BMW to call their company ‘Bay — Em — Vay’ as their three-letter name is correctly pronounced in German.

Go to the U.S. and you’ll never hear Americans refer to Jaguar by its British pronunciation ‘Jag-u-ar’. They say ‘Jar-gwar.’ Are we bothered? No.

And there are still a few Brits who call Renault ‘Ren-ult’. But then, when will the French call ‘Londres’ London?